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Find the optimal value of q and p

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Reference no: EM131880451

1. Use the equations given below and calculate total benefit, total cost, marginal benefit, and marginal cost for values of Q ranging from 35 to 45.

Total Benefits: P = 314Q - 1.6Q

Marginal Benefits: P = 314 - 3.2Q

Total Cost: P = 50Q + 1.7Q

Marginal Cost: P = 50 + 3.4Q

1) Graph total benefit and total cost on one graph, and marginal benefit and marginal cost on the other graph.

2) Find the optimal value of Q and P.

3) Calculate the total benefit, total cost, and net benefit at the equilibrium.

Reference no: EM131880451

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